First tourist-tax agreement announced in Canada

Airbnb and the Government of Quebec have finalized the first-ever tax remittance agreement in Canada, which will allow Airbnb to collect and remit the tax on lodging on behalf of the hosts on the home-sharing platform.

“As the first-of-its-kind tax agreement in this country, this is a landmark announcement and defining moment for Airbnb in Canada,”
Alex Dagg, Public Policy Manager for Canada

“The agreement in Quebec is an example of how Airbnb and government officials can work together as partners.”

Starting Oct. 1, 2017, Airbnb will automatically collect and remit the 3.5 per cent tax on lodging on bookings made in any of Quebec’s 22 tourist regions making the process seamless and easy for both hosts and the province.

In the last year, Airbnb has supported almost one million guest arrivals in Quebec.

“The agreement announced today is a positive step toward the future and development of tourism in Quebec, since it will make it possible to adapt the taxation system to the new collaborative and digital economy,”

said Julie Boulet, Minister of Tourism and Minister responsible for the Mauricie region. The agreement not only addresses the concerns of the tourism industry, but will also ensure healthy competition within the tourism accommodation sector. It is essential that we join and keep pace with the collaborative economy. In addition, this fall, our government intends to clarify certain elements that should forge a link between the collaborative economy and the commercial activities carried out in the tourism accommodation sector by proposing modifications to the current guidelines.”

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